Chapter 13 vehicle loan cramdown solves a number of serious practical problems that even Chapter 7 “straight bankruptcy” can’t.
If you want secured creditors to be paid in your Chapter 13 plan, they must file proofs of claim. Let’s use the example of a vehicle loan.
“Cramdown” of your vehicle loan can solve the problems of a reaffirmation agreement by lowering payments and protecting you much better.
Bankruptcy can save your truck or vehicle various ways. Enable you to pay for it by wiping out other debts. Or even by paying less for it.
Chapter 13 is a tremendously flexible way to pay as much as your budget allows, over a reasonable time, and then write off the rest.
Chapter 13 protects you from collection of back child/spousal support and income taxes, & can save you a ton of money on your vehicle loan.
Bankruptcy can make it possible to keep your vehicle. You have two ways, depending on how much help you need.
Whether you can get your vehicle back depends on how long ago it was repossessed and whether you file under Chapter 7 or Chapter 13.
Here’s some of the very good news you might hear if you followed up on your New Year’s resolution to go see a bankruptcy attorney.
Bankruptcy can protect your car or truck. Both Chapter 7 and 13 can, but which do you need?
Simplistic but often true: Chapter 7 deals better with simpler debts, while Chapter 13 with more complicated debts. What ARE more complicated debts?